What is the duration of the confidentiality obligation for Bevaris Alliance after the termination of the agreement?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
27.3 Confidentiality.
- (a) Each party undertakes that it shall not at any time or at any time during this agreement, and for a period of two years after termination of this agreement, disclose to any person any Confidential Information concerning the business, affairs, customers, clients or suppliers of the other party, except as permitted by clause 27.3(b).
- (b) Each party may disclose the other party's Confidential Information:
- (i) to its employees, officers, representatives, subcontractors or advisers who need to know such information for the purposes of exercising the party's right's or carrying out its obligations under this agreement. Each party shall ensure that its employees, officers, representatives, subcontractors or advisers to whom it discloses the other party's Confidential Information comply with this clause 27.3(b); and
- (ii) as may be required by law, a court of competent jurisdiction or any governmental or regulatory authority.
- (c) No party shall use any other party's Confidential Information for any purpose other than to exercise its rights and perform its obligations under or in connection with this agreement.
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, franchisees are bound by confidentiality obligations both during the term of the franchise agreement and for a period following its termination. Specifically, the franchisee must not disclose any confidential information concerning the business, affairs, customers, clients, or suppliers of Bevaris Alliance to any person.
This confidentiality obligation extends for two years after the termination of the franchise agreement. However, there are exceptions to this rule. Franchisees may disclose confidential information to their employees, officers, representatives, subcontractors, or advisors who need to know the information for the purposes of exercising the party's rights or carrying out its obligations under the agreement. In such cases, the franchisee must ensure that these individuals comply with the confidentiality clause.
Additionally, franchisees are permitted to disclose confidential information if required by law, a court of competent jurisdiction, or any governmental or regulatory authority. However, franchisees are prohibited from using Bevaris Alliance's confidential information for any purpose other than to exercise their rights and perform their obligations under or in connection with the franchise agreement. This ensures that the franchisee cannot use proprietary information gained during the franchise term to unfairly compete with Bevaris Alliance after the agreement ends.